Determining best use based on lot size

[Todd Peoples]

I have a lot I am evaluating in an emerging part of town near several multi-family and townhome developments.  The lot size is 12,250 sq ft with 5 ft minimum front and back setbacks. Price is $40/sq ft which seems expensive, but I am going to run an analysis anyways and see how feasible the project is. 

I am trying to determine the best use for the property.  I need a good way to determine how many townhomes I can fit on a lot this size.  Looking for some direction on the best way to determine this. 

Thanks in advance!

[Kenneth Bell]

I would first look up the zoning and find out the density, all setbacks, height restrictions parking requirements, I would also look into the cost of utility tap fees if you dont have sufficient utilities for your project.  See what the value would be for the most that will fit on the lot and function as it should. In general 20% is my threshold for land in relation to gross value of the project. I am sure other may have different thresholds but that is mine.  1 million in gross value =$200k for the dirt max. There are a lot of other considerations but this is where I would start.